CNX-NIFTY--A TECHNICAL VIEW---18-9-2015

CNX-NIFTY

Closed  at 7899.15 on 16-9-15.

Support:--7895/7881/7840/7746/77237678.50/7667.25/7539.50/7450-422.

Resistance:-7929.10/7940--7962/7997/8065/8092.

 As perceived it moved up (see my post of 14-9-15) and up movement is still on and it is showing no sign of weakness as of now to come down. It has a support from short term rising trend line at 7890 for 18-9-15 and break below this will indicate some weakness but in broader perspective as long as it holds 7829 it is ok for long trades and below this mark it will indicate real weakness and will show potential weakness below 7770(it changes every day), therefore it is suggested to avoid fresh long trade below 7829 and exit long position below 7770 for sure similarly    if it  moves above 7915(it changes every day ) and sustain then this rally could extend to 7940---7972/7997/ 8065/8092/8135 before it get exhausted, chances of which are looking possible as of now. Therefore fresh long call can be initiated above 7915 with a stop loss of below 7880. Please note that it will gain good strength if it moves above 8163(it changes every day) and sustain. Looking at overall technical parameters it is suggest that short call should be avoided for now and can only be tried if it consistently trades below 7828 with a stop loss of above 7860 and add on position below 7770 with a stop loss of above 7800 OR in the range of 8065—8135 with a stop loss of above 8170 for sure.

Remark:-The trend is down but the pull back rally is on and it is showing strength, therefore those who want to ride this rally can try long calls as suggested above but short call should be avoided till the price movement shows potential weakness or try it as suggested above.

Please note that profit should also be booked in trade from time to time at the appropriate points so that you can take advantage of the market swings.

Kindly note that make your cost your stop loss in favorable  trade and then trail it as the price move up/down to gain maximum profit and avoid losses. Use support and resistance levels as entry, exit, target and trailing stop loss points. DO NOT TRADE WITHOUT STOP LOSS.

Disclaimer:-The view expressed here are solely of the author and he is not at all responsible in any way for the outcome of the trade you enter based on the above view.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.